Supply chain visibility is also essential for any pharmaceutical supply chain including reverse logistics, as counterfeiting and lost or stolen products continue to be a major concern for this industry. Including Returnly.com, LogiNext, Optoro etc Rite Aid has a partnership arrangement with Inmar to assist in these areas as their 3PL. If a company plans to sell a recycled product, it first needs to determine whether there is demand for it or whether a new market must be created. Supply chain and logistics news. Reverse logistics is for all operations related to the reuse of products and materials. And for a growing number of manufacturers, in industries ranging from carpets to computers, reverse supply chains are becoming an essential part of business. For instance, Kodak remanufactures its single-use cameras after the film has been developed. A synchronized supply chain to now include forward traditional logistics, inbound logistics, and reverse logistics. The rise in e-commerce transactions, as well as flexible return policies and strict environmental regulations, are shifting the focus of companies to their reverse supply chain. Thankfully, today we have the right technological support in place to help us sail through many of these hurdles. Learn how Hollingsworth's solutions in warehousing, fulfillment and distribution, packaging, just-in-time delivery, kitting, program management, reverse logistics, and transportation can optimize supply chain management for the food and beverage industry. Efficiency is a vital aspect to successful supply chain management in the food and beverage industry, particularly when perishables are involved. Reverse Logistics is as important to a business’s bottom-line as the usual management of procurement, logistics and spend analysis. Sid Brown, the CEO of NFI, a global supply chain solutions company with locations across North America, said one of the biggest problems with the reverse supply chain is a shortage of labor. However, on the general basis, there would be 5 distinctive processes in a reverse supply chain system. Forward Supply Chain . In some cases, companies are being forced to set up reverse supply chains because of environmental regulations or consumer pressures. Better Reverse Supply Chain Process Transparency. If it’s the latter, the company should expect to make heavy investments in consumer education and other marketing efforts. For companies to remain competitive and compliant, it has become a priority for businesses across industries — from retail to automotive to electronics — to update their reverse supply chain … Reverse logistics is a value-added process that addresses how a company receives items back from customers. Reverse supply chains differ from forward supply chains in information flow, physical distribution flow and cash flow. In addition, for many organizations, reverse logistics (also known as returns management) can represent a significant source of untapped profitability. With plenty of companies, supply management success is calculated only up until the product is delivered to the end-user. Effective and efficient reverse supply chain implementation may help in managing these returns along with the end of life product returns. The Supply Chain Minded community aims to inform and connect professionals active in Supply Chain, Purchasing, Manufacturing, Warehousing, Transport, Distribution; Reverse Logistics, Service Logistics, Lean & Six Sigma, 3PL. Whether a company is establishing a reverse supply chain by choice or necessity, it will face many challenges. Bosch, for instance, has built a successful business selling power hand tools that have been remanufactured. In recent years, your company has probably spent a lot of time and money fine-tuning its supply chain. To make rational decisions about the structure of a reverse supply chain, it’s best to divide the chain into its five key components and analyze options, costs, and benefits for each: Product Acquisition. The majority are handled by Genco (which Fedex recently acquired). This area centers on error correction, upgrades in hardware and end-of-life of the products. While the reverse supply chain is an appraoch that is yet to be addressed by many manufacturers, a growing number of companies are looking for external support to help them implement reverse logistics processes. These processes can include repair, warranty recovery, redistribution, value recovery, end-of-life recycling or any combination of these activities. ModusLink continuously monitors the supply levels of all these elements at the PC manufacturer’s central European hub and replenishes stock on a daily basis to ensure that consistent inventory levels are always on hand to meet the forecasted demand. Distribution of a COVID-19 vaccine will soon be the biggest supply chain challenge facing the world. Reverse Supply Chain / Reverse Logistics Web Resources * Reverse Supply Chain / Reverse Logistics Print Resources * Reverse Supply Chain / Reverse Logistics References (4 of up to 20) * Blackburn, J., Guide, V., Souza, G. and Wassenhove, L. (2004) Reverse Supply Chains for Commercial Returns. To successfully deploy a vaccine, organizations may need to predict several aspects related to the supply chain, including: Timing of consumption by country, region, city, and perhaps immunization locations. After all, most supply chains are created to get products out the door, not welcome them back in. Yes, improvements within the supply chain can have a positive ROI, but the only way to ensure an organization understands actual savings versus projected savings lies in letting machine learning delve further into the information and consider everything. Bosch, for instance, has built a successful business selling power hand tools. It may also have to meet stringent environmental standards. … Reverse Logistics. We also provide kitting, packaging and other high-value-add services, including end-to-end reverse logistics management of merchandise returns. JULY 28, 2020. Companies often will need to work closely with retailers and other distributors to coordinate collection. 82 0 obj <> endobj Reverse Logistics Companies: Using Metrics to Track Performance. Customer returns are a form of reverse logistics, but so is the unsold merchandise sent back from a store, among other scenarios. The concept of supply chain transparency was virtually unknown 15 years ago, yet today it commands the attention of mid- and senior-level managers across a broad spectrum of companies and industries. Aberdeen's research identifies senior-level oversight as "the top strategy for improving reverse logistics" among best-in-class companies, with 92 percent having a senior service director or executive that oversees all aspects of the return, exchange, repair and refurbishment of products and parts. The Supply Chain Minded community aims to inform and connect professionals active in Supply Chain, Purchasing, Manufacturing, Warehousing, Transport, Distribution; Reverse Logistics, Service Logistics, Lean & Six Sigma, 3PL. Potential customers for remanufactured products or components include not just the original purchasers but also new customers in different markets. ù?=›� 誇`÷00R�üÏÀ8ÿ@€ ÅúE Asset Recovery Growing According to Dr. Dale Rogers, professor of logistics and supply chain management at Arizona State University, reverse logistics is going to become increasingly popular with logistics managers seeking a process to achieve proper disposal of excess inventory. When it comes to supply chain management, RL holds a rather strategic position in its design and development. For example, they make product design and manufacturing decisions with eventual recycling and reconditioning in mind. Reverse Solutions is trusted by the worlds top brands to implement efficient, sustainable solutions that drive innovation. Reconditioning and remanufacturing processes tend to be much less predictable than traditional manufacturing because there can be a large degree of uncertainty in the timing and quality of returned products. This is the reverse It will have to educate customers and establish new points of contact with them, decide which activities to outsource and which to do itself, and in general figure out how to keep costs to a minimum while discovering innovative ways to recover value. In other cases, companies are taking the initiative, seeing opportunities to reduce their operating costs by reusing products or components. Despite a growing body of research in the area of reverse supply chain, industries are reluctant to adopt best practices of the reverse supply chain. It is "the process of moving goods from their typical final destination for the purpose of capturing value, or proper disposal. Cerasis. 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